Kenya Strengthens Gambling Regulations Amid Tax Evasion Concerns
Kenya’s Betting Control and Licensing Board (BCLB) has launched a new initiative to reform and tighten control over the country’s gambling sector. The regulatory body is working in collaboration with a team of representatives from eight government agencies—including the Ministry of Interior and National Administration and the Directorate of Criminal Investigations (DCI)—to enforce stricter operational standards.
The newly formed task force aims to address several growing issues within the industry, such as underage gambling, excessive betting hours, and unrestricted advertising. Upcoming regulations are expected to prohibit betting near educational institutions, introduce time restrictions for gambling activities, and define clear eligibility requirements for participants.
These changes come amid mounting concerns from lawmakers over alleged tax evasion by some betting operators. It has been suggested that certain companies may be manipulating outcomes to underreport winnings, consequently reducing the taxes owed to the government.
Revenue data from the Kenya Revenue Authority (KRA) shows that the country collected KES 19.6 billion (approximately $150 million) in excise and income taxes from the betting industry during the 2024/25 fiscal year. This figure represents a year-over-year increase of KES 2.53 billion (around $21 million). Despite this growth, lawmakers, including Molo MP Kimani Kuria, questioned why tax collections on betting winnings appear to be declining even as gambling activity rises.
This is not the first regulatory crackdown on gambling operations in Kenya. Recently, authorities issued a two-week deadline for broadcasters to significantly reduce the amount of betting-related content. Non-compliance could lead to revocation of broadcasting licenses. Furthermore, the government has imposed a 30-day blanket ban on all gambling advertisements across platforms including television, radio, and social media.
BCLB Chairperson Dr. Jane Makau highlighted the urgency of the reforms, pointing out the addictive nature of gambling and its growing societal impact. She stressed the importance of responsible gaming and community education, cautioning that many citizens are now gambling beyond their means—often leading to debt and mental health issues such as depression.
Despite the stricter regulations, the gambling industry in Kenya appears to be cooperating with the government’s efforts. Sasa Krneta, Chairperson of the Association of Gambling Operators of Kenya, affirmed that betting companies are committed to promoting responsible gambling and are fully prepared to comply with the new measures. He emphasized that operators encourage clients to only wager what they can afford to lose and welcome regulatory efforts that align with these values.
- SCCG Management. The Gambling Industry’s Global Connector. Access Here.
- Source: SCCGManagement.com